One Equity Partners (“OEP”) announced that it has entered into a definitive agreement to merge its investment in Walterscheid Powertrain Group (“Walterscheid”) into Comer Industries (“Comer”). Under terms of the transaction, OEP will continue to own a significant minority stake in the combined company.
The transformational combination of Walterscheid with Comer will create one of the largest global providers of powertrain equipment with highly complementary product portfolios, and aftermarket parts and related services for the agricultural, construction and wind power end markets. For the twelve months ending December 31, 2020, together the two companies generated €792.3 million of revenue and €86.5 million of adjusted EBITDA in 2020.
“The strong rebound in the agriculture and construction equipment sectors, along with rising food production, a greater reliance on wind energy and increased outsourcing by OEMs will provide strong secular tailwinds to support the growth of the combined business for years to come,”
said Joseph Huffsmith, Managing Director of OEP. “We believe that the combined company, with its increased scale and product portfolio, will be able to better serve its customers worldwide,” added Steve Lunau, Managing Director of OEP.
“OEP has been an outstanding partner to Walterscheid and instrumental in supporting our growth over the last two years. We’re delighted the firm has decided to remain an investor in the combined business” said Wolfgang Lemser, CEO of Walterscheid Powertrain Group.
“Walterscheid and Comer share the same commitment to high quality customer service, safety, innovation and have highly complementary product portfolios.”
“We are thrilled to partner with Walterscheid and OEP,” said Matteo Storchi, Chairman and CEO of Comer Industries.
“Our collective knowledge and experience in the industry will provide the right strategic, financial and operational resources for building on Comer’s core business and pursuing new growth opportunities that lie ahead.”
The transaction is expected to close in the fourth quarter, subject to antitrust approval and other customary closing conditions.